01
July 2015
Past Event
The Antitrust Division's Devaluation of Standard-Essential Patents

The Antitrust Division's Devaluation of Standard-Essential Patents

Past Event
Hudson Institute, Washington, D.C. Headquarters
July 01, 2015
Default Event Image
01
July 2015
Past Event

1015 15th Street, N.W., 6th Floor
Washington, DC 20005

Speakers:
harold_furchtgott_roth
Harold Furchtgott-Roth

Senior Fellow and Director, Center for the Economics of the Internet

J. Gregory Sidak

Founder & Chairman, Criterion Economics

In February 2015, the Institute of Electrical and Electronics Engineers (IEEE) became the first standard-setting organization to regulate the calculation of fair, reasonable, and nondiscriminatory royalties for standard-essential patents (SEPs). The IEEE made that transformative change with the encouragement and blessing of the Antitrust Division of the U.S. Department of Justice. The bylaw amendments aim to mitigate the risk of patent holdup and royalty stacking.

But the suggestion that SEP holders routinely extract supracompetitive royalties is disputed. In fact, the amendments broaden the binding provisions of IEEE’s fair, reasonable, and nondiscriminatory commitment; diminish the SEP holder’s ability to enforce its patent rights; and blindly lower the royalties that the SEP holder may charge a licensee.

In its business review letter, the Antitrust Division commended the bylaw amendments for addressing the risk of patent holdup and royalty stacking without analyzing whether those harms actually occur in the implementation of the IEEE’s standards. At the same time, the Antitrust Division ignored the countervailing concern that the bylaw amendments facilitate collusion among implementers to suppress the royalties they pay for SEPs.

On July 1st, Hudson Institute hosted J. Gregory Sidak for a conversation on current state of SEP regulation. Senior Fellow Harold Furchtgott-Roth moderated the discussion.

Related Events
01
August 2025
Past Event
Peru’s Strategic Moment
Featured Speakers:
Diego de la Torre
Francisco Tudela
Marc Wachtenheim
Amb. Hugo de Zela
Moderator:
Daniel Batlle
Getty Images
01
August 2025
Past Event
Peru’s Strategic Moment

Join Hudson Adjunct Fellow Daniel Batlle and a panel of leading analysts as they examine what lies ahead for Peru and whether the country can convert its economic potential into lasting security and sovereignty ahead of its 2026 elections.

Getty Images
Featured Speakers:
Diego de la Torre
Francisco Tudela
Marc Wachtenheim
Amb. Hugo de Zela
Moderator:
Daniel Batlle
31
July 2025
Past Event
How Congress Can Rebuild US Shipbuilding and Boost Maritime Security
Featured Speakers:
Austin Gray
Capt. Christian Lee (Ret.)
Matthew Paxton
Scott Sloan
Mike Smith
Lawrence Ryder
Moderators:
Bryan Clark
Michael Roberts
DVIDS
31
July 2025
Past Event
How Congress Can Rebuild US Shipbuilding and Boost Maritime Security

Join Hudson Senior Fellows Bryan Clark and Michael Roberts for a discussion with government and industry leaders about the challenges the US Navy and Coast Guard face amid modernization efforts and how new legislation and regulation can help restore America’s maritime superiority.

DVIDS
Featured Speakers:
Austin Gray
Capt. Christian Lee (Ret.)
Matthew Paxton
Scott Sloan
Mike Smith
Lawrence Ryder
Moderators:
Bryan Clark
Michael Roberts
30
July 2025
Past Event
Gaza: Aid, Influence, and Information War
Featured Speakers:
Johnnie Moore
Michael Doran
Getty Images
30
July 2025
Past Event
Gaza: Aid, Influence, and Information War

Join Hudson Institute Senior Fellow and Director for the Center for Peace and Security in the Middle East Michael Doran for a conversation with Reverend Johnnie Moore, president of the Congress of Christian Leaders and founder of the Gaza Humanitarian Foundation.

Getty Images
Featured Speakers:
Johnnie Moore
Michael Doran
29
July 2025
Past Event
Other Approaches to the US-Canada Trade Impasse
Featured Speakers:
Hon. Ed Fast
Jamie Tronnes
Moderator:
Matthew Boyse
Getty Images
29
July 2025
Past Event
Other Approaches to the US-Canada Trade Impasse

Join Hudson Senior Fellow Matt Boyse for a discussion with former Canadian Minister for Trade and Economic Development Ed Fast, and CNAPS Executive Director Jamie Tronnes, as they explore a new path forward for US-Canada relations and what other allies can learn from the process.

Getty Images
Featured Speakers:
Hon. Ed Fast
Jamie Tronnes
Moderator:
Matthew Boyse